Financial Disclosure Practices of Private Commercial Banks in Bangladesh: A Compliance Study
DOI:
https://doi.org/10.51983/ajms-2022.11.1.3088Keywords:
IFRS, Compliance, Financial Disclosure, Private Commercial BankAbstract
The study is based on an analysis of compliance with prevailing accounting standards for the Private Commercial Banks in Bangladesh. This paper empirically analyzes the performance of disclosure in compliance with IFRS 7. 6 listed private banking companies are taken as samples. To fulfill its objective, the annual reports and documents of all the sample banks are examined, and obtained data from surveys. Since all of them are required to comply with the standard of IFRS 7 to disclose relevant financial information to uphold the stakeholders’ interest, the extent of deviation from the standards in terms of disclosure practice is also examined. The study found that average bank compliance with the standards is 72.77% by the banks. The highest rate of compliance found from individual compliance status of those companies is 80% with a negative deviation from the average. However, the practices of disclosure in reporting are considerably good. Therefore, it is recommended that the regulatory authority and central bank of Bangladesh mandate the compliance with IFRS 7 for disclosure in financial reporting.
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